HONCAUTIOUS

HON FCF Yield Analysis

7.9%

Updated 201h ago·SEC filings & market data

Key Takeaway

At 6.9%, the free cash flow yield—annual free cash flow divided by market capitalization—shows the cash return an investor would receive if the company distributed all its free cash flow.

Sector Performance

79th percentile

HON

7.9%

Sector Median

4.2%

Sector Avg

9.2%

Prior Period

6.9%(Aug 2026)

↑ Improving

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Deep Analysis

At 6.9%, the free cash flow yield—annual free cash flow divided by market capitalization—shows the cash return an investor would receive if the company distributed all its free cash flow.

That level sits above the sector median of 4.2%, placing HON in the 75th percentile among peers. The trend is decreasing across the latest eight quarters, with the most recent reading down 1.4% quarter over quarter; the year-over-year change is N/A. A yield still above peers but slipping

Frequently Asked Questions

What does the FCF Yield tell investors about HON?

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

How is the FCF Yield calculated?

FCF Yield is calculated as: Free Cash Flow / Market Cap.

Who are HON's closest peers by FCF Yield?

The closest peers by FCF Yield include: JACK (23.5%), BBWI (23.7%), YELP (25.7%), MET (27.9%), WIX (29.2%).

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Learn More About FCF Yield

Understanding Free Cash Flow

Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.

Free Cash Flow Yield: Why It Matters More Than Earnings Per Share

EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.

The Formula

Free Cash Flow / Market Cap

Why It Matters

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.